TaxTMI 
TaxTMI 
Income-tax (First Amendment) Rules, 2013 - Insertion of rule 17CA and Form No. 10BC
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....cial Gazette. 2. In the Income-tax Rules, 1962, after rule 17C, the following shall be inserted, namely:- "17CA. Functions of electoral trusts. (1) The functions of an electoral trust referred to in section 13B shall be as provided in this rule. (2) The electoral trust may receive voluntary contributions from - (a) an individual who is a citizen of India; (b) a company which is registered in India; and (c) a firm or Hindu undivided family or an Association of persons or a body of individuals, resident in India. (3) A receipt indicating the following shall be issued by the trust immediately on receipt of any contribution indicating the following:- (a) ....
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.... 29A of the Representation of the People Act, 1951 (43 of 1951) shall be an eligible political party and an electoral trust shall distribute funds only to the eligible political parties. (8) (i) The electoral trust may, for the purposes of managing its affairs, spend up to five per cent, of the total contributions received in a year subject to an aggregate limit of rupees five hundred thousand in the first year of incorporation and rupees three hundred thousand in subsequent years; (ii) the total contributions received in any financial year along with the surplus from any earlier financial year, if any, as reduced by the amount spent on managing its affairs, shall be the distributable contributions for the financial year; (ii....
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.... and (e) has a substantial interest. (11) (i) An electoral trust shall keep and maintain such books of account and other documents in respect of its receipts, distributions and expenditure as may enable the computation of its total income in accordance with the provisions of the Act; (ii) The electoral trust shall also maintain a list of persons from whom contributions have been received and to whom the same have been distributed, containing the name, address and permanent account number of each such person along with the details of the amount and mode of its payment including the name and branch of the bank. (12) Every electoral trust shall get its accounts audited by an accountant as defined in the Explanation below sub-section (....
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....ance Sheet and the Income and Expenditure Account are in agreement with the books of account maintained by the said electoral Trust. * I/We have obtained all the information and explanations which to the best of * my/our knowledge and belief were necessary for the purposes of the audit. In * my/our opinion, proper books of account have been kept by the head office and the branches of the above named electoral trust visited by * me/us so far as appears from* my/our examination of the books, and proper documents adequate for the purposes of audit have been received from branches not visited by * me/us, subject to the comments given below: In * my/our opinion and to the best of * my/our information, and according to information given ....
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....management functions. (4) Surplus brought forward. (5) Distributable Contributions for the Financial Year. (6) Whether the contributions received in the previous year have been distributed to eligible political parties? Name of the Political Party with permanent account number Amount distributed Date Mode (7) Surplus to be carried forward. (8) Whether all contributions have been received by account payee cheque or demand draft? If no; the details thereof. Name of the person Permanent account number Amount of contribution Date Mode (9) Whether receipts in respect of all dis....